Raedex Consortium Limited — Buy2LetCars, Rent2OwnCars, Wheels4Sure
Raedex Consortium Limited (FRN 668924) was an FCA-authorised firm that operated a car leasing investment model through several consumer-facing brands: Buy2LetCars, Rent2OwnCars, PayGoCars and Wheels4Sure. Investors were invited to purchase cars that were then leased to consumers, with Raedex managing the leases and paying investors regular returns. The model attracted thousands of ordinary investors who believed they were participating in a straightforward and regulated investment.
In February 2021, the FCA imposed restrictions on Raedex, stopping it from entering into any new car leases and raising serious questions about the firm’s finances. The restrictions also stopped Raedex from onboarding new customers, though existing lease arrangements were initially allowed to continue. Raedex and Buy2LetCars subsequently entered administration.
The Serious Fraud Office opened a criminal investigation into Raedex Consortium’s activities, covering the period from 2012 to 2021. In January 2024, the SFO charged two directors, Mr Larry-Cole and Mr Martin, with three counts of fraud each in connection with the scheme. The FSCS declared Raedex in default on 30 April 2024, confirming the firm cannot meet valid claims and that the FSCS can now pay compensation to eligible investors.
Issues / Why You May Have a Claim
Many people who invested through Buy2LetCars or the other Raedex brands were not fully informed of the risks they were taking. Some investors were advised by FCA-regulated financial advisers to put money into Raedex’s schemes. Where that advice was unsuitable, or where the arrangement was not properly explained, those investors may have a claim not only against Raedex through the FSCS but also against the adviser who recommended it.
